How Netflix could reach $200 per share: Analyst

Netflix shares could nearly double in the next three to four years, Mark Mahaney, analyst at RBC Capital markets, told CNBC on Tuesday.

"In terms of long-term valuation, the way we think about the stock is we think this is a company that can generate $10 [annual earnings per share] in long-term earnings power," Mahaney said in an interview with CNBC's "Tech Bet." "If that's true, we think that's a $200 stock somewhere in the next three to four years."

Netflix releases fourth-quarter earnings after the bell Tuesday, and investors should look for the streaming service's number of subscribers, Mahaney added. Netflix traded at $109 per share as of early Tuesday afternoon.

"If they're able to come in line with their guidance — and they're able to meet their 3 million plus international (subscriber) number — then the story will be intact," Mahaney said. "And the stock should go up higher from that."